Contents

UN

March 07, 2013 - U.N. Security Council Passes New Sanctions on North Korea

The United Nations Security Council approved a new regimen of sanctions on Thursday against North Korea for its underground nuclear test last month in a unanimous vote that came just hours after North Korea threatened for the first time to launch a pre-emptive nuclear strike against the United States and South Korea. Source: NYT

The tougher sanctions impose penalties on North Korean banking, travel and trade and were passed in a 15-0 vote that reflected the country’s increased international isolation. China, the North’s longtime benefactor, helped the United States draft the sanctions resolution in what outside experts called a sign of Beijing’s growing annoyance with Pyongyang’s defiant behavior on the nuclear issue. The Chinese had entreated the North Koreans not to proceed with the Feb. 12 underground nuclear test, their third. Source: NYT

EU

April 23, 2013 - Implementing Regulation (EU) No 370/2013 of 22 April 2013 amending Council Regulation (EC) No 329/2007 concerning restrictive measures against the Democratic People’s Republic of Korea. Annex IV to Regulation (EC) No 329/2007 is amended as follows:

The following entries shall be added under the heading ‘A. Natural persons’:

COUNCIL REGULATION (EC) No 329/2007 of 27 March 2007 concerning restrictive measures against the Democratic People’s Republic of Korea.

In order to implement the UN arms embargo on North Korea, the European Union member states adopted Common Position 2006/795/CFSP in November 2006. The EU embargo, inter alia, prohibits the transfer of all arms and related materiel to North Korea. EU Arms Sanctions

UK

April 23, 2013 - Implementing Regulation (EU) No 370/2013 of 22 April 2013 amending Council Regulation (EC) No 329/2007 concerning restrictive measures against the Democratic People’s Republic of Korea. Annex IV to Regulation (EC) No 329/2007 is amended as follows:

The following entries shall be added under the heading ‘A. Natural persons’:

By the adoption of UNSCR 1718 (2006) on 14 October 2006, the United Nations introduced restrictions on a range of goods from entering or leaving the North Korea and imposed a travel ban and an asset freeze against those persons designated by the competent UN Security Council Sanctions Committee or by the Security Council as persons who engage in or provide support for, including through other illicit means, North Korea’s nuclear-related, other weapons of mass destruction-related and ballistic missile-related programmes.

Australia

UN Based Sanctions - On 14 October 2006 the United Nations Security Council (UNSC) adopted resolution 1718 (2006) imposing sanctions in relation to the Democratic People's Republic of Korea in response to a test of a nuclear weapon on 9 October 2006, which it deemed a threat to the Treaty on the Non-Proliferation of Nuclear Weapons and to international efforts aimed at strengthening the global regime of non-proliferation of nuclear weapons, and a danger to peace and stability in the region and beyond. The sanctions were renewed and extended by UNSC resolution 1874 (2009).

As a consequence, Australian law now prohibits various conduct, for more information Australia Sanctions

Australia Based Sanctions - Following North Korea's missile and nuclear tests in 2006, Australia has had autonomous sanctions in place against North Korea. These measures are in addition to Australia's implementation of United Nations Security Council sanctions against North Korea.

Australia's autonomous sanctions against North Korea currently cover:

Targeted financial sanctions (implemented by the Reserve Bank of Australia)

Restrictions on certain financial transactions involving named entities and/or individual(s) associated with North Korea's WMD and missile programs, in place since 19 September 2006.

Special Gazette Notice: S176, Tuesday 19 September 2006

A list of these persons and entities

Reserve Bank of Australia sanctions website

Travel restrictions

General ban on visas to travel to Australia by North Korean nationals, in place since 10 October 2006.

Canada

On August 11, 2011, Canada imposed sanctions against North Korea under the Special Economic Measures Act. These sanctions are in addition to existing sanctions passed under the United Nations Act. The Special Economic Measures (DPRK) Regulations came into force to reinforce the message to the North Korean government that its agressive actions, such as the sinking of the Cheonan, are unacceptable.

The Regulations provide for the following:

ban on all exports;

ban on all imports to Canada from North Korea;

ban on all new investment in North Korea;

ban on the provision of financial services to North Korea and to persons in North Korea;

ban on the provision of technical data to North Korea, and

ban on the docking and landing in, and transiting of, Canada by North Korean ships and aircraft.

Some exceptions are available, including the following:

humanitarian efforts and goods, such as food and medical supplies or equipment;

stabilization and reconstruction assistance and activities;

financial or other support provided by the Government of Canada; and

non-commercial remittances.

In addition, the Special Economic Measures (DPRK) Permit Authorization Order, made pursuant to subsection 4(4) of the Special Economic Measures Act authorizes the Minister of Foreign Affairs to issue to any person in Canada or any Canadian outside Canada a permit to carry out a specified activity or transaction, or any class of activity or transaction, that is restricted or prohibited pursuant to the Regulations. Canada Sanctions on North Korea - Augustus 11, 2011

On 14 October 2006, acting under Chapter VII of the Charter of the United Nations, the United Nations Security Council adopted Resolution 1718 (2006) imposing sanctions against the Democratic People's Republic of Korea (DPRK) in response to a claim by the DPRK that it conducted a test of a nuclear weapon on October 9, 2006. On June 12, 2009, the Security Council adopted Resolution 1874 (2009) modifying and strengthening the sanctions imposed against the DPRK in 2006. Resolution 1874 (2009) was adopted in response to a nuclear test conducted by the DPRK on May 25, 2009, which violated Resolution 1718 (2006), and missile activities that the Security Council deemed to be a clear threat to international peace and security.

The Regulations Implementing the United Nations Resolutions on the Democratic People's Republic of Korea (DPRK), implement the decisions of the Security Council in Canadian domestic law. Implementation of the travel ban imposed by Resolution 1718 (2006) is ensured in Canada under existing provisions of the Immigration and Refugee Protection Act.
New Developments

On July 16, 2009, the 1718 Committee designated five entities; determined additional goods; and designated five individuals to be subject to the measures imposed in paragraph 8 of Resolution 1718. See details in UN Security Council document S/2009/364.
Sanctions

The measures imposed against the DPRK include:

a prohibition on the export to any person in the DPRK of:

all arms and related material, with the exception of small arms and light weapons and their related materials;

resources contributing to the DPRK's weapons programme; and

luxury goods;

a prohibition on importing from any person in the DPRK or any citizen of the DPRK of:

all arms and related material; and

resources contributing to the DPRK's weapons programme;

a prohibition on the provision, to any person in the DPRK, of technical assistance related to the provision, manufacture, maintenance or use of arms and related material or resources contributing to the DPRK's weapons programme;

a prohibition on financial transactions related to the provision, manufacture, maintenance or use of arms or related material;

an assets freeze against persons designated by the Security Council or by the 1718 Committee; and

China

May 08, 2013 - China sanctions North Korea Foreign Trade Bank

The Bank of China's decision to shut down the account of North Korea's Foreign Trade Bank and halt all transactions will deal a heavy blow to a reclusive nation that depends on China for a large portion of its trade.

Although the May 7 decision was made in response to requests from Washington, officials of Japan, the United States and South Korea still have to determine if the move represents a genuine change in Beijing's policy toward Pyongyang.

Japan

The Japanese government is enforcing a ban on North Korea’s Foreign Trade Bank, preventing Japanese financial institutions from doing business with it, government sources revealed on Tuesday. This move was done to cooperate closely with the stand spearheaded by the United States in dealing with the secluded country over its nuclear weapons program.

New Zealand

Article 41 of the United Nations Charter authorises the Security Council to take enforcement measures not involving the use of force in order to give effect to its decisions. These measures often take the form of sanctions. UN Security Council sanctions are binding on all UN member States, including New Zealand, and are implemented in New Zealand law by regulations made under the United Nations Act 1946. All persons and entities in New Zealand, and in many cases New Zealand citizens and companies overseas, must comply with regulations implementing Security Council sanctions. The range of sanctions imposed by the Security Council has included comprehensive economic and trade sanctions as well as more targeted measures such as arms embargoes, travel bans, and financial restrictions. Financial restrictions, otherwise known as an “assets freeze” are one of the most commonly used sanctions imposed by the United Nations Security Council. New Zealand Sanctions

March 11, 2013 - Designation of DPRK Entities Pursuant to Executive Order 13382

To further impede North Korea’s weapons of mass destruction (WMD) and ballistic missile programs, the Department of State on March 11 designated three individuals directly tied to North Korea’s proliferation activities. These designations are pursuant to Executive Order 13382, which targets proliferators of WMD and their supporters:

North Korea's nuclear and missile proliferation activities violate UN Security Council Resolutions 1718 (2006), 1874 (2009), 2087 (2013), and 2094 (2013), destabilize the region, and undermine the global nonproliferation regime. The international community has condemned North Korea’s WMD proliferation activity, most recently in the adoption of UN Security Council Resolution 2094 on March 7. Today’s designations of three senior members of the North Korean government follow actions taken March 7 by the U.S. Government against China-based representatives of the Korea Mining Development Corporation (KOMID) and Tanchon Commercial Bank (TCB).

North Korea will continue to face isolation if it refuses to take concrete steps to comply with its international obligations and address the concerns of the international community over its nuclear and ballistic missile programs.

The United States continues to encourage North Korea to choose the path of peace and remains prepared to engage constructively with North Korea if it changes its course. However, North Korea must demonstrate its seriousness of purpose and commitment to authentic and credible negotiations by taking meaningful steps to show it will abide by its denuclearization commitments and respect international law.

Pak To-Chun is the head of U.S.- and European Union-designated Munitions Industry Department, which manages North Korea’s weapons production and arms exports; he succeeded EU-designated Jon Pyong-Ho. Pak is a full member of the Korean Worker Party’s (KWP) Political Bureau, its highest decision-making body, as well the National Defense Commission, which, among other things, oversees several elements of North Korea’s security apparatus.

Chu Kyu-Chang is a KWP Political Bureau (alternate) member and directs the Munitions Industry Department. He formerly headed the U.S.-designated Second Academy of Natural Sciences (SANS) and the Second Economic Committee (SEC). SANS is a national-level organization responsible for research and development of North Korea’s advanced weapons systems, including missiles and probably nuclear weapons. SEC is responsible for overseeing the production of North Korea’s ballistic missiles and directs activities of the United Nations-, European Union-, and U.S.-designated Korea Mining Development Trading Corporation (KOMID).

O Kuk-Ryol is a Vice Chairman of the North Korean National Defense Commission. He previously headed the KWP Operations Department, where he ordered the establishment of a nuclear research and development organization directly under his control.

The Department of the Treasury is today also designating the Foreign Trade Bank of the DPRK and Paek Se Bong pursuant to E.O. 13382 for WMD proliferation-related activity. More details are available here

March 08, 2013 - United States Sanctions Individuals Linked To North Korean Weapons Of Mass Destruction Programs

The United States welcomes the unanimous passage today of United Nations Security Council Resolution (UNSCR) 2094. North Korea's nuclear and missile proliferation activities violate the UN Security Council sanctions regime comprised of resolutions 1718 (2006), 1874 (2009) and 2087 (2013), destabilize the region, and undermine the global nonproliferation regime. The international community has condemned North Korea’s weapons of mass destruction (WMD) proliferation activity and its continued efforts to advance its nuclear and missile programs, including its announced February 12 nuclear test and its April and December 2012 launches using ballistic missile technology. These provocative acts continue to threaten international peace and security and will only result in North Korea becoming further isolated from the international community.

On Thursday, March 7, 2013 the U.S. Department of the Treasury implemented the asset freeze provisions of UNSCR 2094 (2013) by designating Mun Cho’ng-Ch’o’l, a Tanchon Commercial Bank (TCB) representative who served in Beijing, China; and Yo’n Cho’ng-Nam and Ko Ch’o’l-Chae, both based in Dalian, China, and representatives of Korea Mining Development Corporation (KOMID), pursuant to Executive Order (E.O.) 13382, which targets proliferators of WMD and their supporters. The Second Academy of Natural Sciences and Korea Complex Equipment Import Corporation, listed in UNSCR 2094 today, were previously designated pursuant to E.O. 13382 in August 2010 and October 2005 respectively.

"These individuals are important actors within North Korea’s proliferation network who have been working to gain access to international markets," said Under Secretary for Terrorism and Financial Intelligence David S. Cohen. "We will continue to work with our partners around the world to expose these operations and hold North Korea accountable for its provocative and destabilizing acts."

TCB was identified in the annex of E.O. 13382 in June 2005 because it acts as the financial arm of KOMID, Pyongyang’s premier arms dealer and main exporter of goods and equipment related to ballistic missiles and conventional weapons. KOMID was also listed in the annex to E.O. 13382 in June 2005 for its role in North Korea’s proliferation of WMD.

KOMID has offices in multiple countries around the world and facilitates weapons sales for the North Korean government. TCB plays a role in financing KOMID’s sales of ballistic missiles and has also been involved in ballistic missile transactions from KOMID to Iran’s Shahid Hemmat Industrial Group (SHIG), the U.S. and UN-sanctioned Iranian organization responsible for developing liquid-fueled ballistic missiles. In addition to their listings under E.O. 13382, both TCB and KOMID were designated by the UNSCR 1718 Committee in April 2009.

Today’s designations under E.O. 13382 generally result in the prohibition of transactions between these individuals and any U.S. person, and the freezing of any assets they may have under U.S. jurisdiction.

January 24, 2013 - Treasury Sanctions Company And Individuals Linked To North Korean Weapons Of Mass Destruction Program

The U.S. Department of the Treasury today designated two officials from North Korea-based Tanchon Commercial Bank, as well as one entity—Leader (Hong Kong) International Trading Limited—pursuant to Executive Order (E.O.) 13382, which targets proliferators of weapons of mass destruction (WMD) and their supporters.

These designations, along with several designations announced today by the Department of State, are part of the United States' implementation of the new United Nations Security Council resolution (UNSCR) 2087, which condemned North Korea's launch of December 12, 2012, using ballistic missile technology, in direct violation of UNSCRs 1718 and 1874. Today's actions also support the United States' longstanding objective of impeding North Korea's ability to fund its nuclear and ballistic missile activities.

"Our actions today target two North Korean entities, Tanchon Commercial Bank and KOMID, that are part of the web of banks, front companies and government agencies that support North Korea's continued proliferation activities," said Under Secretary for Terrorism and Financial Intelligence David S. Cohen. "By continuing to expose these entities, and the individuals who assist them, we degrade North Korea's ability to use the international financial system for its illicit purposes."

Ra Ky'ong-Su, the Tanchon Commerical Bank (TCB) Representative to Beijing and Kim Kwang-Il, the TCB Deputy Representative to Beijing, were designated today for facilitating activity on behalf of TCB. TCB was designated pursuant to E.O. 13382 in October 2009 because it acts as the financial arm of Korea's Mining Development Trading Corporation (KOMID), Pyongyang's premier arms dealer and main exporter of goods and equipment related to ballistic missiles and conventional weapons, which itself was listed in the annex to E.O. 13382 on June 28, 2005 for its role in North Korea's proliferation of WMD.

KOMID has offices in multiple countries around the world and aims to facilitate weapons sales. TCB plays a role in financing KOMID's sales of ballistic missiles and has also been involved in ballistic missile transactions from KOMID to Iran's Shahid Hemmat Industrial Group (SHIG), the U.S. and UN-designated Iranian organization responsible for developing liquid-fueled ballistic missiles. In addition to their designation under E.O. 13382, both TCB and KOMID were designated by the UNSCR 1718 Committee in April 2009.

Leader (Hong Kong) International Trading Limited was designated today for facilitating the shipment of machinery and equipment to customers on behalf of KOMID and directly to KOMID representatives located outside of North Korea.

In addition, Treasury's list of Specially Designated Nationals and Blocked Persons (SDN List) was updated today to reflect that KOMID operates under the alias Korea Kumryong Trading Corporation, an entity designated by the UN Security Council pursuant to UNSCR 2087.

Today's actions generally prohibit transactions between the designees and any U.S. person, and freeze any assets designees may have under U.S. jurisdiction.

January 24, 2013 - Designation Of DPRK Entities Pursuant To Executive Order 13382 In Response To UN Security Council Resolution 2087

The United States welcomes the UN Security Council’s unanimous adoption on January 22 of UN Security Council resolution (UNSCR) 2087, condemning North Korea’s launch of December 12, 2012, which used ballistic missile technology in violation of UN Security Council resolutions 1718 and 1874. Once again, the international community has sent a clear, united signal that North Korean provocations that undermine international security and the global nonproliferation regime, like the December 2012 launch, will not be tolerated.

To implement our obligations pursuant to UNSCR 2087 and to impede the DPRK’s illicit WMD and ballistic missile programs, the Departments of State and the Treasury on January 24, 2013, designated several entities and individuals directly tied to North Korea’s proliferation activities. The Department of State designated one entity and two individuals pursuant to Executive Order 13382, which targets proliferators of weapons of mass destruction (WMD) and their supporters. These include the Korean Committee for Space Technology (KCST), KCST senior official Paek Chang-Ho, and General Manager of the Sohae Satellite Launching Station Chang Myong-Chin.

Information on the Department of the Treasury’s concurrent actions may be viewed here

The Korean Committee for Space Technology orchestrated the launches of the Taepo-Dong 2 via the satellite control center and Sohae launch area. The technology used to launch a satellite is virtually identical to and interchangeable with that used in an intercontinental ballistic missile. KCST has contributed directly to the DPRK’s long-range ballistic missile development efforts.

Paek Chang-Ho is a senior official and head of the satellite control center of KCST.

Chang Myong-Chin is the head of the launch center at which the launches took place.

These actions aim to disrupt North Korea’s continued WMD proliferation and procurement efforts that are in flagrant violation of UN Security Council resolutions. North Korea will continue to face isolation if it refuses to take concrete steps to address the concerns of the international community over its nuclear and missile programs.

June 26, 2011 - Obama Renews Sanctions Targeting North Korea (Friday, June 24, 2011) - U.S. President Obama has renewed for an additional year sanctions targeting North Korea. Former President Bush first ordered the sanctions in 2008 under the National Emergencies Act. The Obama White House has maintained those penalties and even increased them, adding a new prohibition in April on the import of all North Korean products (see below). "The existence and the risk of proliferation of weapon-usable fissile material on the Korean Peninsula, and the actions and policies of the government of North Korea that destabilize the Korean Peninsula and imperil U.S. armed forces, allies, and trading partners in the region, continue to constitute an unusual and extraordinary threat to the national security, foreign policy and economy of the United States," Obama said in a notice to Congress explaining his reasons for renewing the sanctions.

May 23, 2011 - Iran, North Korea and Syria nonproliferation Act (INKSNA) The United States imposed sanctions on two Belarusian entities, three Chinese entities and one individual, five Iranian entities and one individual, one North Korean entity, two Syrian entities and one Venezuelan entity.

Sanctions were imposed on these entities as provided in the INKSNA because there was credible information indicating that they had transferred to or acquired from Iran, North Korea, or Syria equipment and technology listed on multilateral export control lists (Australia Group, Chemical Weapons Convention, Missile Technology Control Regime, Nuclear Suppliers Group, Wassenaar Arrangement) or otherwise having the potential to make a material contribution to WMD or cruise or ballistic missile systems.

The sanctions apply to the specific entities above and will be in effect for two years. The sanctions do not apply to these entities’ respective countries or governments.

The sanctions consist of the following:

No department or agency of the U.S. Government may procure, or enter into any contract for the procurement of, any goods, services or technology from these entities;

No department or agency of the U.S. Government may provide any assistance to these entities and they shall not be eligible to participate in any assistance program of the U.S. Government;

U.S. Government sales of any item on the U.S. munitions list (USML) to any of these entities are prohibited, and sales of any defense articles, defense services or design and construction services controlled under the Arms Export Control Act are terminated; and

New licenses will be denied and any existing licenses suspended, for transfer to these entities of items controlled under the Export Administration Act of 1979 or Export Administration Regulations. INKSNA Statement

On April 18, 2011, the President issued Executive Order ("E.O.") 13570 to take additional steps to address the national emergency declared in E.O. 13466 and expanded in E.O. 13551, that will ensure implementation of the import restrictions contained in United Nations Security Council Resolutions 1718 and 1874 and complement the import restrictions provided for in the Arms Export Control Act (22 U.S.C. 2751 et seq.).

WASHINGTON – The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) announced on April 19, 2011 the designation of North Korean financial institution Bank of East Land (aka Dongbang Bank) for its facilitation of weapons-related transactions for, and other support to, designated arms manufacturer and exporter Green Pine Associated Corporation (Green Pine).

April 19, 2011 designation was taken pursuant to Executive Order (E.O.) 13551, signed by President Obama in August 2010. E.O. 13551 targets North Korea’s importation and exportation of arms, importation of luxury goods, and other illicit activities, including money laundering, the counterfeiting of goods and currency, bulk cash smuggling, and narcotics trafficking. OFAC Press Center

Licenses required for import and export activities; no owning, leasing, operating, or insuring any vessel flagged by North Korea.

Several banks have been designated and banned by OFAC (and the EU), including there worldwide branches

The Office of Foreign Assets Control of the U.S. Department of the Treasury (‘‘OFAC’’) is amending the Terrorism List Governments Sanctions Regulations so that the schedule to which a prohibition section refers lists those countries that are currently designated as supporting international terrorism, instead of the countries that were designated as of the effective date of these regulations. This amendment also removes Iraq, Libya, and North Korea from the schedule, because these countries are no longer designated as state sponsors of terrorism.

FATF Warning List

February 22, 2013 - Since October 2012, DPRK has reached out to the APG regarding joining that body and has engaged directly with the FATF. The FATF urges the DPRK to enhance its engagement with these bodies to agree with the FATF on an action plan to address its AML/CFT deficiencies.

The FATF remains concerned by the DPRK’s failure to address the significant deficiencies in its anti-money laundering and combating the financing of terrorism (AML/CFT) regime and the serious threat this poses to the integrity of the international financial system. The FATF urges the DPRK to immediately and meaningfully address its AML/CFT deficiencies.

The FATF reaffirms its 25 February 2011 call on its members and urges all jurisdictions to advise their financial institutions to give special attention to business relationships and transactions with the DPRK, including DPRK companies and financial institutions. In addition to enhanced scrutiny, the FATF further calls on its members and urges all jurisdictions to apply effective counter-measures to protect their financial sectors from money laundering and financing of terrorism (ML/FT) risks emanating from the DPRK. Jurisdictions should also protect against correspondent relationships being used to bypass or evade counter-measures and risk mitigation practices, and take into account ML/FT risks when considering requests by DPRK financial institutions to open branches and subsidiaries in their jurisdiction.

October 19, 2012 - The FATF remains concerned by the DPRK’s failure to address the significant deficiencies in its anti-money laundering and combating the financing of terrorism (AML/CFT) regime and the serious threat this poses to the integrity of the international financial system. The FATF urges the DPRK to immediately and meaningfully address its AML/CFT deficiencies.

The FATF reaffirms its 25 February 2011 call on its members and urges all jurisdictions to advise their financial institutions to give special attention to business relationships and transactions with the DPRK, including DPRK companies and financial institutions. In addition to enhanced scrutiny, the FATF further calls on its members and urges all jurisdictions to apply effective counter-measures to protect their financial sectors from money laundering and financing of terrorism (ML/FT) risks emanating from the DPRK. Jurisdictions should also protect against correspondent relationships being used to bypass or evade counter-measures and risk mitigation practices, and take into account ML/FT risks when considering requests by DPRK financial institutions to open branches and subsidiaries in their jurisdiction.

The FATF remains prepared to engage directly in assisting the DPRK to address its AML/CFT deficiencies.

June 22, 2012 - The FATF remains concerned by the DPRK’s failure to address the significant deficiencies in its anti-money laundering and combating the financing of terrorism (AML/CFT) regime and the serious threat this poses to the integrity of the international financial system. The FATF urges the DPRK to immediately and meaningfully address its AML/CFT deficiencies.

The FATF reaffirms its 25 February 2011 call on its members and urges all jurisdictions to advise their financial institutions to give special attention to business relationships and transactions with the DPRK, including DPRK companies and financial institutions. In addition to enhanced scrutiny, the FATF further calls on its members and urges all jurisdictions to apply effective counter-measures to protect their financial sectors from money laundering and financing of terrorism (ML/FT) risks emanating from the DPRK. Jurisdictions should also protect against correspondent relationships being used to bypass or evade counter-measures and risk mitigation practices, and take into account ML/FT risks when considering requests by DPRK financial institutions to open branches and subsidiaries in their jurisdiction.

The FATF acknowledges the latest outreach from DPRK to FATF and remains prepared to engage directly in assisting the DPRK to address its AML/CFT deficiencies.

24 June 2011 - The Financial Action Task Force (FATF) is the global standard setting body for anti-money laundering and combating the financing of terrorism (AML/CFT). In order to protect the international financial system from ML/FT risks and to encourage greater compliance with the AML/CFT standards, the FATF identified jurisdictions that have strategic deficiencies and works with them to address those deficiencies that pose a risk to the international financial system.

As part of its ongoing review of compliance with the AML/CFT standards, the FATF has identified that this jurisdictions (North Korea) has major AML/CFT deficiencies for which it has NOT developed an action plan with the FATF.

FATF members and other jurisdictions should apply counter-measures to protect the international financial system from the on-going and substantial money laundering and terrorist financing (ML/TF) risks emanating from the jurisdictions Iran and North Korea.

The FATF and the FSRBs will continue to work with this jurisdiction and to report on the progress made in addressing the identified deficiencies. The FATF calls on the jurisdiction to complete the implementation of action plans expeditiously and within the proposed time frames. All member states should treat this jurisdiction (North Korea) with vigilance and requested to apply counter measuresFATF Public Statement - June 24, 2011

US FinCen - AML/CFT Deficiencies Warning List

July 13, 2011 - FinCen adopted the Financial Action Task Force Public Statement on Anti-Money Laundering and Counter-Terrorist Financing Risks and FinCen provided guidance on the subject. More detailed information FIN-2011-A011 and FIN-2011-A012